Reps. Wild, Curtis, Roy, Van Drew, and Meuser Introduce Bipartisan Legislation to Enhance PPP Aid for Small Businesses
WASHINGTON – Today, U.S. Representatives Susan Wild (D-PA), John Curtis (R-UT), Chip Roy (R-TX), Jeff Van Drew (R-NJ), and Dan Meuser (R-PA) released the following statements following the introduction of their new bipartisan bill to amend the Paycheck Protection Program (PPP). The Coronavirus Aid, Relief, and Economic Security Act’s (CARES Act) PPP delivered important tools to temporarily support millions of struggling businesses across the country. With the enhancements in the this new bill, the Paycheck Protection Program Small Business Enhancement Act, small businesses will be able to receive even more aid.
“Getting America back to work means ensuring Americans have jobs to come back to. Since the beginning of this pandemic, the PPP program has helped keep more than 108,000 people in my district employed – and allowing businesses to access these funds a second time will help make sure they stay employed as we continue to face this public health emergency,” Wild said. “And when people do return to work, they need to feel safe doing so. By making sure businesses have the resources to create and maintain safe work environments – with plenty of PPE, sanitation services, and support for regular testing – we can start to create a framework in which economic recovery is possible. This bipartisan, commonsense effort protects small businesses and American workers, and I am proud to support it.”
“Despite receiving a Paycheck Protection Program loan, countless Utah small business remain shuttered and could use the resources offered by the Paycheck Protection Program,” Curtis said. “This is especially the case in many of our tourism communities, like Southeastern Utah – from tour companies that organize trips to Utah’s natural treasures to bussing companies that transport adventurous travelers from across the globe through our famed national parks. A second PPP loan could be make or break for these mostly family-owned establishments and fighting to keep their doors open is a cause that I am unquestioningly willing to support.”
“The PPP program - as modified by the bipartisan flexibility provisions I was happy to lead to pass - has helped millions of small businesses across the country and in Texas. They’ve been able to keep their doors open and their employees on the payroll. But for many I speak to in Texas, the public policies of closure and distancing are continuing to crush them, and they say the need another round to stay alive,” Roy said. “I am happy to work with my friend, Rep. Curtis, to offer targeted, clean legislation to focus on this problem and honor our obligation to make people whole for taking away their livelihoods.”
“The Paycheck Protection Program was a targeted response to unprecedented economic uncertainty. The program worked as it was intended – the average loan size was approximately $100,000, demonstrating its efficacy at helping small businesses across America weather the challenges brought on by COVID. In my district in Pennsylvania, nearly 8,000 forgivable PPP loans have been distributed, saving nearly 80,000 jobs. The provisions that Rep. Curtis, Roy, Van Drew, and I have worked on will ensure the PPP continues to truly help small businesses in a thoughtful, clear, and targeted way,” Meuser said.
“The Paycheck Protection Program Small Business Enhancement Act is a thoughtful, effective plan to ensure that PPP loans are accessible to those who need them and effective for those who receive them,” said Matt Haller, IFA Senior Vice President of Government Relations and Public Affairs. “Reps. Curtis and Roy have put forward a strong bill that will address the most pressing issues for franchise small businesses and their employees across the country.”
Specifically, this legislation makes the following changes to the PPP program:
- Allowing a second PPP loan for businesses that have experienced a reduction in gross receipts of more than 20% as compared to last year
- Including 501(c)(6) nonprofits and franchised businesses that were left out of the first round of PPP to receive loans for the first time
- Allowing businesses to spend PPP funds on protective equipment and testing expenses
- Making eligible expenses tax deductible
- Ensuring that lenders, especially smaller community banks, continue to participate in PPP by easing the burden PPP places on them by:
- Providing lenders with a robust safe harbor from liability for the statements and representations of borrowers
- Allowing automatic forgiveness for loans under $150,000 while maintaining the ability of SBA to audit those loans for compliance